Web Site: www.CuMtn.com
VANCOUVER, April 13, 2016 /PRNewswire/ - Copper Mountain Mining Corporation (TSX: CUM) (the "Company" or "Copper Mountain") announces production results for the first quarter of 2016, from the Copper Mountain Mine located in southern British Columbia.
First Quarter 2016 Production Highlights:
- Annual production on track: Produced 19 million pounds of copper, 7,100 ounces of gold, and 65,700 ounces of silver during the first quarter, on track to meet production guidance for the year.
- Mill throughput increased: Milled 3.4 million tonnes of ore at an average rate of 37,100 tpd, with 91% operating time. Mill tonnage averaged a record 39,980 tpd in February. Copper recovery for the period was 82% treating an average grade of 0.312% copper.
- Mine production strong: Mined approximately 192,000 tonnes of material per day during the first quarter, in line with budget expectations.
Mining activities continued from both the Pit 2 and Virginia Pit areas. During the quarter, the mine achieved a new daily mining record of 242,950 tpd, which was made possible by the opening up of short waste haul opportunities and a continued focus on maximizing haul truck hours. Optimizing waste haul routes continues to be priority of the mine. A total of 17.5 million tonnes of material was mined, including 5.7 million tonnes of ore and 11.8 million tonnes of waste, resulting in a strip ratio of 2 to 1. High equipment mechanical availability was maintained during the quarter.
During the quarter, the mine signed an agreement with BC Hydro whereby up to 75% of the monthly electricity payment may be deferred at current copper prices as part of a five year agreement. This agreement has taken effect as of March 1, 2016. In the first month of electricity deferral, the mine deferred $1.8 million in electricity charges. This amount will accumulate on the balance sheet as a non-current asset.
Mr. Jim O'Rourke, President and Chief Executive Officer of Copper Mountain Mining, said "Support by all stakeholders with the mine's aggressive cost saving initiatives has greatly strengthened the mine's ability to weather the current global economic environment. The favourable Canadian dollar, lower fuel prices, shareholders' deferral of crusher tolling fees, contributions by our employees and the deferral of electricity payments to BC Hydro are significant and greatly appreciated. At the current copper price range of US$2.10 per pound, the deferral of electrical payments would be approximately CDN$22.5 million per year or US$0.20 per pound copper."
About Copper Mountain Mining Corporation:
Copper Mountain's flagship asset is the 75% owned Copper Mountain mine located in southern British Columbia near the town of Princeton. The Company has a strategic alliance with Mitsubishi Materials Corporation who owns the remaining 25%. The Copper Mountain mine commenced production in the latter half of 2011, and has continued to improve its operations since start-up. The 18,000 acre site has a large resource of copper that remains open laterally and at depth. The mine has significant exploration potential that will need to be explored over the next few years to fully appreciate the property's full development potential. Additional information is available on the Company's web page at www.CuMtn.com.
A conference call and audio webcast will be held on Monday, May 2, 2016 at 7:30 am (Pacific Daylight Time) for management to discuss the first quarter 2016 results. This discussion will be followed by a question-and-answer period with investors.
Live Dial-in information
Replay call information
The conference call replay will be available from 10:30 am (PDT) on May 2nd, 2016, until 11:59 pm PST on Monday, May 16, 2016
On behalf of the Board of
COPPER MOUNTAIN MINING CORPORATION
Jim O'Rourke, P.Eng.
Chief Executive Officer
Note: This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents, filed by the Company on SEDAR at www.sedar.com, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statement.
SOURCE Copper Mountain Mining Corporation